Fed Raises Interest Rates To 3.75%...
CBS Market Watch:
The Federal Reserve raised interest rates again Tuesday, saying Hurricane Katrina could fuel inflationary pressures but does not pose a persistent threat to the U.S. economy.
The 9-1 vote to increase the federal funds target rate by a quarter percentage point to 3.75% leaves the key interest rate at its highest level since June 2001.
"The widespread devastation in the Gulf region, the associated dislocation of economic activity and the boost to energy prices imply that spending, production and employment will be set back in the near term," the committee said.
First Posted: 09-20-05 02:23 PM | Updated: 03-28-08 02:43 AM